DoD's $5.3M Solenoid Valve Contract Awarded to FAIRWINDS TECHNOLOGIES LLC Amidst Fair Competition
Contract Overview
Contract Amount: $5,346,406 ($5.3M)
Contractor: Fairwinds Technologies LLC
Awarding Agency: Department of Defense
Start Date: 2025-12-16
End Date: 2027-12-06
Contract Duration: 720 days
Daily Burn Rate: $7.4K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 2
Pricing Type: FIRM FIXED PRICE
Sector: Defense
Official Description: VALVE,SOLENOID
Place of Performance
Location: TEMPLE TERRACE, HILLSBOROUGH County, FLORIDA, 33637
State: Florida Government Spending
Plain-Language Summary
Department of Defense obligated $5.3 million to FAIRWINDS TECHNOLOGIES LLC for work described as: VALVE,SOLENOID Key points: 1. The contract value is $5,346,406 for solenoid valves. 2. Competition was rated as fair, suggesting potential for better pricing. 3. The primary risk lies in the limited number of bids received. 4. Spending is within the Defense sector, specifically for the Defense Logistics Agency.
Value Assessment
Rating: fair
The contract's pricing is considered fair, but the limited competition suggests there might be room for improvement. Benchmarking against similar solenoid valve contracts would provide a clearer picture of value.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition. However, only two bids were received, indicating that the price discovery mechanism may not have been fully optimized.
Taxpayer Impact: Taxpayer funds are being used for this procurement. While competition was open, the limited bids suggest potential for overpayment compared to a more robustly contested award.
Public Impact
Defense readiness may be impacted by the availability of these critical solenoid valves. Small businesses may have been excluded if they could not meet the specific requirements or compete with larger firms. The long-term implications of this contract on future defense supply chains need consideration.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Limited number of bids received.
- Potential for price optimization missed due to fair competition.
- Dependence on a single supplier for critical components.
Positive Signals
- Contract awarded under full and open competition.
- Clear delivery timeline established.
- Firm fixed price contract provides cost certainty.
Sector Analysis
This contract falls within the Defense sector, specifically for electronic components. Spending benchmarks for solenoid valves within the DoD can vary significantly based on specifications and volume.
Small Business Impact
While the contract was open to all, the data does not indicate if small businesses participated or were awarded subcontracts. Further analysis is needed to determine the impact on small business participation.
Oversight & Accountability
The Defense Logistics Agency is responsible for this procurement. Oversight should focus on ensuring timely delivery and adherence to specifications, as well as monitoring future competition.
Related Government Programs
- Bare Printed Circuit Board Manufacturing
- Department of Defense Contracting
- Defense Logistics Agency Programs
Risk Flags
- Limited competition.
- Potential for price overruns.
- Supply chain vulnerability.
- Lack of small business participation data.
Tags
bare-printed-circuit-board-manufacturing, department-of-defense, fl, delivery-order, 1m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $5.3 million to FAIRWINDS TECHNOLOGIES LLC. VALVE,SOLENOID
Who is the contractor on this award?
The obligated recipient is FAIRWINDS TECHNOLOGIES LLC.
Which agency awarded this contract?
Awarding agency: Department of Defense (Defense Logistics Agency).
What is the total obligated amount?
The obligated amount is $5.3 million.
What is the period of performance?
Start: 2025-12-16. End: 2027-12-06.
What is the benchmark price for similar solenoid valves procured by the DoD?
Determining the precise benchmark price for similar solenoid valves requires access to historical contract data and detailed specifications. Factors like material, pressure rating, and volume significantly influence cost. Without specific comparative data, it's challenging to definitively state the benchmark, but the 'fair' rating suggests it's within an acceptable range, though not necessarily the lowest possible.
What are the risks associated with relying on a limited number of bidders for critical defense components?
Relying on a limited number of bidders for critical defense components poses several risks. It can lead to higher prices due to reduced competition, potential supply chain disruptions if a supplier faces issues, and a lack of innovation. Furthermore, it may stifle the growth of emerging suppliers who could offer competitive alternatives or specialized solutions in the future.
How effective is the 'full and open competition' method when only two bids are received?
The effectiveness of 'full and open competition' is diminished when only two bids are received. While the process itself is designed to maximize competition, a low number of bids suggests potential barriers to entry, insufficient market outreach, or a lack of qualified suppliers. This can result in suboptimal pricing and reduced market dynamism, questioning the full realization of competitive benefits.
Industry Classification
NAICS: Manufacturing › Semiconductor and Other Electronic Component Manufacturing › Bare Printed Circuit Board Manufacturing
Product/Service Code: VALVES
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY
Offers Received: 2
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 6165 GUARDIAN GTWY STE J, ABERDEEN PROVING GROUND, MD, 21005
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Limited Liability Corporation, Small Business, Special Designations, U.S.-Owned Business, Woman Owned Business, Women Owned Small Business
Financial Breakdown
Contract Ceiling: $5,346,406
Exercised Options: $5,346,406
Current Obligation: $5,346,406
Contract Characteristics
Multi-Year Contract: Yes
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: SPRMM125DMD01
IDV Type: IDC
Timeline
Start Date: 2025-12-16
Current End Date: 2027-12-06
Potential End Date: 2027-12-06 00:00:00
Last Modified: 2025-12-18
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